Burn Rate Calculator
Calculate monthly burn rate based on starting cash, ending cash, and the number of months.
How this calculator works
How to use this calculator
Enter the required business values in the fields, then click Calculate. Review the result and use it as a quick planning estimate for business analysis, reporting, or decision-making.
Formula used
Monthly Burn Rate = (Starting Cash − Ending Cash) ÷ Number of Months
Example calculation
Starting Cash = $100,000, Ending Cash = $76,000, and Period = 3 months. Monthly Burn Rate = (100,000 − 76,000) ÷ 3 = $8,000.00.
What the result means
A higher burn rate means cash is being used faster. This is especially useful for startups and project teams that need to monitor runway and funding needs.
Frequently asked questions
What does monthly burn rate mean?
It shows the average amount of cash used per month during the selected period.
Can burn rate be zero?
Yes. If starting cash and ending cash are the same, the burn rate is zero.
What if ending cash is higher than starting cash?
That means the business generated net cash during the period, so this basic burn-rate calculator will ask you to review the inputs.